The pallets I have worked with, when you pull the slats off, normally the nails pull thru the slats, and are left sticking out of the 2X4 cross members. With that gizmo, the nails would only be driven into, not thru, the 2X4s. So it would not work well on pallets at all.
Those nails are brittle, and if you try to pull them out, you can pull very few, they usually break. You can get them out tho, with a hollow drill bit in a drill. You'll make a bit of a hole, but those can be patched/plugged, and you won't have a nail left in the wood. A bit time consuming, but all in all usually worthwhile.
"It ain't what you're told, it's what you know." - Granny Weatherwax
Gather the villagers, pitchforks, torches; we march at dusk!
Some days, the supply of available curse words is insufficient to meet my demands.
.....Call me a craftsman, artisan, or artistic, and I will accept that. Call me an artist and you will likely get a quite rude comment in return. I am not a @#$%ing artist.